1. KANNAWAY COMPENSATION PLAN 1VERSION 2 | 8.18.2014KANNAWAY COMPENSATION PLAN2014WWW.KANNAWAY.COM

2. 2 KANNAWAY COMPENSATION PLANThe world has never seen a company as unique and refreshing as Kannaway, and we knowthat our Brand Ambassadors are the driving force behind our success. Together with our BrandAmbassadors, we are creating a culture that is truly enriching the lives of people around theworld. To bring this vision into reality, Kannaway has established a generous and straightforwardcompensation plan that rewards our Brand Ambassadors and even gives them two options to earna car!WE ARE KANNAWAYWE ARE KANNAWAY 3. KANNAWAY COMPENSATION PLAN 3VERSION 2 | 8.18.2014There are a few things you will need to understand in order to be qualified to earn commission overrideson the sales made by your organization.Qualifying to earn commissions is a three step processRegister to become a Kannaway Independent Business Owner (Brand Ambassador) by enrolling onlineand paying the required Brand Ambassador fee of $15 a month.** The monthly Brand Ambassador fee will be debited each month on the monthly anniversary date.The Brand Ambassador fee includes: Kannaway marketing websites Kannaway secure back office Kannaway training Kannaway media marketing system Kannaway success manual and quick start guidesActivate your Kannaway business by personally selling orpurchasing Qualified Kannaway product(s).Maintain the minimum Personal Volume (PV - what is generated from all personal sales and personalcustomer sales) required for your rank each month, either through customer sales or personal orders, whichmay be accomplished by enrolling in the Kannaway Auto Delivery Program.Lets recapIf your business plan is to build a strong and organized sales team, then you must:1. Register to become a Brand Ambassador.2. Activate your business.3. Make sure you maintain the Personal Volume (PV) required for your rank each month.Its that easy! Once Qualified, youll receive credit for sales generated within your sales organization.[See: Rank Qualifications]STEP 1STEP 2Getting Started :STEP 2GETTING STARTED 4. 4 KANNAWAY COMPENSATION PLANUnderstanding the Kannaway PlanDisclaimer: In the Kannaway program, there is no purchase of product required to be a Brand Ambassador. The only required fee isthe $15 monthly Brand Ambassador fee, from which no commissions are generated. Kannaway only pays commissions from the sale ofproductsnot from the recruitment of Brand Ambassadors.As a Brand Ambassador (Independent Business Owner), its important to understand how you get paid. A portionof each sale generated within your organization may trigger one or more of the nine ways for you to earncommissions. As you read through this compensation explanation, youll understand how youre rewarded in eacharea of the compensation plan.It is important to understand that in order to receive commissions you must satisfy a minimum Personal Volume (PV)based on your rank. For further explanation, see: Rank and Pin Levels below.Direct Sale IncomeSelling Kannaway products directly to your customerswhether they are retail customers or Preferred Retailcustomersis the first step towards building a solid foundation for your Kannaway business. Direct sales allow youto make income by purchasing Kannaway products at wholesale and selling them at retail, earning a wholesale-to-retail profit. You may choose to carry a small inventory of products to keep on-hand so your customers can havetheir products immediately, or you can simply direct your customers to your Kannaway Brand Ambassador websitewhere they can purchase products and have them shipped directly from the Company.*Direct Sale Income is paid weekly.Kannaway Preferred Customer ProgramSome retail customers prefer to purchase products at their own pace. You can also offer your customersthe opportunity to save money and even earn FREE Kannaway product by registering in the KannawayPreferred Customers Program (KPCP). Registration is free and your customers will receive a discount equalto 50% of the difference between the wholesale and retail price. As an active Brand Ambassador, youllearn the remaining 50% as retail profit, and Kannaway will credit the product Business Volume (BV, the totalvolume assigned to each product) towards your Personal Volume Requirement (PV).In order for a customer to be a Kannaway Preferred Customer (KPC), they must complete the KannawayPreferred Customer online application and enroll in the Kannaway Auto Delivery Program where theyll startreceiving the product(s) of their choice monthly. As a Kannaway Preferred Customer, they will be given aback office account to track their order history and manage their auto delivery.At Kannaway, we believe that referral marketing is the most effective way to market. Thats why wereward our Preferred Customers with the ability to earn FREE product. All they have to do is refer threeother Kannaway Preferred Customers and their product is FREE. The amount of free product a KPC canUNDERSTANDING THE PLAN 5. KANNAWAY COMPENSATION PLAN 5VERSION 2 | 8.18.2014UNDERSTANDING THE PLANbe awarded will be based on the average product orders of the total number of Kannaway PreferredCustomers they refer. For example: If a KPC refers just three other Preferred Customers whose averageproduct orders equal 55 BV, they too would be eligible to receive 55 BV in product for free. All sales arecredited to the Brand Ambassador who enrolled the referring Preferred Customer.*There are no commissions paid on free product.*Retail income from Kannaway Preferred Customers will be paid weekly.Heres how it works Maintain an active monthly Auto Delivery order of at least 55 BV in product orders. Have at least three Kannaway Preferred Customers (KPCs) with minimum active auto delivery orderstotaling 165 BV each calendar month. When this occurs, your next months product order is FREE. The amount of free product a Brand Ambassador can receive will be based on the total average BVorder of their KPCs..*There are no commissions paid on free product.3 personally sponsored Preferred Customers in a calendar month 6. 6 KANNAWAY COMPENSATION PLANFast Start Bonus Program (FSB)Kannaway understands that it is important for Brand Ambassadors to have the ability to get theirbusinesses into a profitable position as soon as possible. Every time a Brand Ambassador enrolls anew team member, they will earn a Fast Start Bonus (FSB) of 30% Commissionable Volume (CV) on allproducts and product pack sales their new Brand Ambassador makes in their first 30 days. The Fast StartBonus incentivizes Sponsors to work with their new Team Members to help them succeed in Kannaway.Fast Start Double-UpAs an added incentive, Kannaway gives Brand Ambassadors the ability to double their FSBcommissions earned during their first thirty days.Once a Brand Ambassador enrolls three other Brand Ambassadors who Essential, Lifestyle orPremier Qualify, the FSB commissions they earned on those sales will automatically double.At this point, every Qualified sale the Brand Ambassador makes during their first thirty days willimmediately double.50% Matching BonusDuplication is the key to long-term success in relationship marketing. To help our BrandAmbassadors create a culture of teamwork, we give them the ability to earn a 50% matchingbonus on Qualified Fast Start sales made by each of their personally enrolled BrandAmbassadors during their first thirty days.To qualify to earn the 50% match, a Brand Ambassador must personally Lifestyle or PremierQualify and personally enroll 3 Brand Ambassadors who Essential, Lifestyle or Premier Qualify. If Brand Ambassador personally Lifestyle Qualifies, they will have 30 days from their date ofenrollment to enroll their 3 qualified Brand Ambassadors to become Match Qualified. If Brand Ambassador personally Premier Qualifies, they will have 60 days from their date ofenrollment to enroll their 3 qualified Brand Ambassadors to become match qualified. Once Qualified, a Brand Ambassador will earn a 50% Matching Bonus on their personallyenrolled Brand Ambassadors Fast Start Bonuses for up to 60 days. If the newly enrolled Brand Ambassador Essential or Lifestyle Qualifies, the sponsoring BrandAmbassador will earn a 50% Matching Bonus for 30 days.UNDERSTANDING THE PLAN 7. KANNAWAY COMPENSATION PLAN 7VERSION 2 | 8.18.2014UNDERSTANDING THE PLAN If the newly enrolled Brand Ambassador Premier Qualifies, the sponsoring Brand Ambassador will earn a50% Matching Bonus for 60 days.* To be eligible to earn the Fast Start Double-Up and 50% Matching Bonuses, a Brand Ambassador must beenrolled in the Kannaway monthly Auto Ship Program with a minimum order of 55 BV.* The Kannaway compensation plan pays 50% of the total BV in commissions. Products and product packs soldafter the thirty-day FSB period will be paid through Team Override Commissions.NOTE: No product purchase is required to be a Brand Ambassador. The only required fee to be a KannawayBrand Ambassador is the monthly Brand Ambassador fee.* FSB, Double-Up and 50% Matching bonuses are paid weekly.Weekly Cycle Bonus (WCB)Brand Ambassadors have the opportunity to earn bonus overrides on Qualified sales generated to infinity through-outtheir entire organization.Brand Ambassadors start accruing volume towards their Weekly Cycle Bonuses starting on their 31st day as anactive and Qualified Brand Ambassador. The great thing about the Kannaway Weekly Cycle Bonus is there are norank qualifications to earn it.Once Qualified, all new Qualified sales to customers or Brand Ambassadors generated within a BrandAmbassadors organization (with no depth limit) will count toward Weekly Cycle Bonuses.Qualifying Volume: All of the Business Volume from Qualified sales counts towards Weekly Cycle Bonuses. Everytime 3,000 BV in Qualified sales is generated within a Brand Ambassadors organization, with not more than 45%coming from one leg, they will earn a Weekly Cycle Bonus of $200.WEEKLY QUALIFYING CYCLE SALES CHARTQUALIFIED SALES BVPREMIERE QUALIFIED 999 BVLIFESTYLE QUALIFIED 499 BVESSENTIAL QUALIFIED 199 BVNote: Qualified Sales include all initial sales of Premier, Lifestyle, and Essential Qualified sales. (See: WeeklyCycle Bonus Qualification Rules.) Weekly Cycle Bonuses are paid weekly from the Sponsors Tree. To be eligibleearn, a Brand Ambassador must be enrolled in the Kannaway monthly Auto Ship Program with a minimum orderof 55 BV. 8. 8 KANNAWAY COMPENSATION PLANUNDERSTANDING THE PLANWeekly Cycle Bonus Rules:1. Personally enroll at least three (3) active Brand Ambassadors in three separate legs.a. Weekly Cycle Bonuses are generated when a Brand Ambassador has at least 3,000 inQualified Team Volume.b. No more than 45% of the BV may be counted from any one personally enrolled team (leg).c. Only Qualified product sales count towards Weekly Cycle Bonuses. [Premier, Lifestyle andEssential Qualified sales]d. Qualified Weekly Cycle Bonuses will only be credited one time to Qualified BrandAmbassadorse. The number of cycles a Brand Ambassador can complete in a given week is based on a BrandAmbassadors Paid As Rank: Director - 8 cycles Regional Marketing Director (RMD) - 8 cycles National Marketing Director (NMD) and above - 16 cyclesf. If a product is returned for a full refund, all commissions paid on that sale will be deducted fromall Brand Ambassadors (who were credited with the BV) next commission checks. If that triggereda Weekly Cycle Bonus, the entire Bonus will be deducted from the next check; however, theremaining BV from that cycle will be credited towards the Brand Ambassadors next Weekly CycleBonus qualification.g. All FSB, Fast Start Double-Up, and 50% Matching Bonuses will be capped at 100% of the CVallocated towards those bonuses. If at any time the total commissions earned for these bonusesexceed that threshold, Kannaway reserves the right to apply the CAP Rule (see: Definitions below)on FSB and Weekly Cycle Bonus commissions ONLY. If the CAP rule applies, the Bonuses will bepaid as follows: All FSB, Fast Start Double-Up, and 50% Matching Bonuses will be paid in full. All first cycle Weekly Cycle Bonuses earned that pay period will be paid in full. All Weekly Cycle Bonus cycles affected by the CAP Rule will be prorated by dividingthe CAP overage by the number of cycles in that pay period to establish the exact value ofeach cycle.h. All BV from Qualified sales above the required 3,000 BV will not be carried over to the nextcycle. 9. KANNAWAY COMPENSATION PLAN 9VERSION 2 | 8.18.2014UNDERSTANDING THE PLAN5 Levels of Team Override COMMISSIONSAs a Kannaway Brand Ambassador, your focus will be on creating a retail and Preferred RetailCustomer base as well as building a team of Brand Ambassadors. As you progress through theKannaway compensation program, you will earn increased Team Override Commissions from theproduct sales generated throughout your sales organization.Kannaway utilizes a unilevel structure for our Team Override Commissions. This means that everyBrand Ambassador will automatically be placed on their sponsors first level unless their sponsorchooses to place them under a Brand Ambassador deeper in their Team Override Tree. [Placement isan advanced organizational strategy. Ask your Team Leader for advice on the best strategy for buildingyour Kannaway business.]As you can see from the diagram below, the higher the rank you achieve, the more levels from whichyou can earn commissions. The Kannaway compensation plan uses compression to allow BrandAmbassadors to earn on sales originating down deeper within their organization if someone in theorganizational tree is inactive. This means any customer or Brand Ambassador volume that is notgenerated from an active Brand Ambassador will compress and be counted within the volume of thelevel immediately above. [Note: All commissionable sales will be paid through the Unilevel PlacementTree belowwith the exception of sales that qualify as Weekly Cycle Bonus sales.]RankBrandAmbassadorDirectorRegionalMarketingDirectorNationalMarketingDirectorSilverExecutiveGoldExecutivePlatinumExecutiveDiamondDoubleDiamondTripleDiamondRoyalDiamondLVL 1 5% 5% 5% 5% 5% 5% 5% 5% 5% 5% 5%LVL 2 25% 25% 25% 25% 25% 25% 25% 25% 25% 25% 25%LVL 3 5% 5% 5% 5% 5% 5% 5% 5% 5% 5%LVL 4 5% 5% 5% 5% 5% 5% 5% 5% 5%LVL 5 5% 5% 5% 5% 5% 5% 5% 5%*Team Override Commissions are paid monthly. 10. 10 KANNAWAY COMPENSATION PLANInfinity Differential BonusThe Infinity Differential Bonus begins at the 6th level of the Unilevel Placement Tree and allows QualifiedBrand Ambassadors to override all sales made by their sales organizationno matter what level the sale wasgenerated on.Example: If a Royal Diamond has no Regional Marketing Directors (or above) in a specific leg or in a directlysponsored team, they would receive an 18% Infinity Bonus on all sales below their 5th level. Once a BrandAmbassador in that team qualifies as a Regional Marketing Director, they would begin to earn a 2% Infinity Bonuson their 6th level sales to infinity; the Royal Diamond would earn the difference between their percentage override(18%) and the Slivers (2%) on the very same sale, i.e. 16%.If a Royal Diamond has a Platinum in one of their legs and a Gold under the Platinum in that same leg, the Diamondis paid 18% down to the Platinums 5th level and 8% on the Platinums 6th level and beyond. This is because onthe Platinums 6th level, they begin to earn a 10% Infinity Differential Bonus themselves (18% less 10% = 8%). ThePlatinum is also paid 10% down to the Golds 5th level and 2% on the Golds 6th level and below. Once again,this is because on the Golds 6th level, the Gold Executive begins to earn the Infinity Differential Bonus (10% less8% = 2%). The Infinity Differential Bonus pays a total of 18% BV (Weekly Cycle Bonus-qualified BV excluded) toQualified Brand Ambassadors and is based on the Paid As Rank.NOTE: Starting with the 6th level, all Team Override Commissions will follow the diagram below. The InfinityDifferential Bonus is calculated through the Placement Tree.Infinity Differential BonusesRMD NMDSilverExecutiveGoldExecutivePlatinumExecutiveDiamondDoubleDiamondTripleDiamondRoyalDiamond2% 4% 6% 8% 10% 12% 14% 16% 18%* Infinity Differential Bonuses are paid monthly from the Placement Tree.Leadership Coded Infinity BonusThe Kannaway compensation plan rewards Brand Ambassadors who work hard and build a strong, productivesales team. All Paid As Ranks of National Marketing Director and above (see: Achieving Higher LeadershipLevels) have the potential to earn an additional bonus on sales made by every Brand Ambassador in their salesteam no matter what level the Brand Ambassador is on. Its all related to who made the sale, even if they are onthe 100th level.UNDERSTANDING THE PLAN 11. KANNAWAY COMPENSATION PLAN 11VERSION 2 | 8.18.2014Heres how it works: Every Brand Ambassador in the Kannaway program has upline leadership. This is truefor you and it will be true for those in your sales organization. Every time a Brand Ambassador is enrolled inKannaway, their Kannaway Business is tagged or linked up to eight (8) of their uplineBrand Ambassadorsforever. Qualifying leaders will earn an additional bonus on every sale that a Brand Ambassador makesandpotentially every sale their entire Brand Ambassador organization makes to infinity.Note: The Leadership Coded Infinity Bonus pays a total of 18% BV (FSB and Weekly Cycle Bonus Qualified BVexcluded) to Qualified Brand Ambassadors. Bonuses are based on Paid As Rank. All BV is calculated based on theSponsorship Tree, not the Placement Tree.NMDSilverExecutiveGoldExecutivePlatinumExecutiveDiamondDoubleDiamondTripleDiamondRoyalDiamond4% 6% 8% 10% 12% 14% 16% 18%.Diamond Bonus PoolKannaway believes in rewarding those Brand Ambassadors who partner with us in growing the company andsharing the Kannaway lifestyle with others. We do this through the Diamond Bonus Pool program, which not onlyrewards our Brand Ambassadors for their part in the success of the company, but also helps create a company-wideculture of teamwork!Heres how it works: Kannaway allocates 4% of the total company-wide BV. The Diamond Bonus Pool is dividedby points, with Diamond earning one point, Double Diamond earning two points, Triple Diamond earning threepoints and Royal Diamond earning four points.*All points have an equal value and are allocated based on Paid As Rank.Diamond Bonus Pool4% BVDiamond Double Diamond Triple Diamond Royal Diamond1 Point 2 Points 3 Points 4 Points*Qualification is based on rank*Bonus pool commissions are paid monthlyUNDERSTANDING THE PLAN 12. 12 KANNAWAY COMPENSATION PLANKANNAWAY CAR PROGRAMThe Kannaway Car Program gives you two ways to earn a car, with you ultimately receiving the title to the car ofyour choice (up to $75,000 in retail valuesee Cash Bonuses and Rewards).How it works: The qualifying Brand Ambassador must purchase/lease a company-approved car in black or silverthat is not older than three (3) model years. If a Brand Ambassador chooses to purchase/lease a car that is a pre-owned,it must be free of any exterior and interior defects and be in good operating condition.(See: Kannaway Car Program Policy below.)*Car bonuses are awarded monthlyKannaway Car Program PolicyA. What car maker/makers are eligible?1. BMW2. Mercedes Benz3. BentleyB. Kannaway Car Program BonusesRank BonusSilver Executive $500Gold Executive $500Platinum Executive $750Diamond $1,000Double Diamond $1,0001. If a Brand Ambassador chooses not to participate in the Kannaway Car Program,they may opt to receive 50% of the car bonus in cash once they have achieved aPaid As Rank of Silver Executive for two consecutive calendar months.2. A Brand Ambassador who is a college student may opt to have the full value of theKannaway Car Program Bonus applied directly towards their college tuition.(See: College Tuition Program for details.)3. Achieve the Paid As Rank of Triple Diamond and receive the title to the car of your choice.(Value up to $75,000see Incentives & Rewards.)UNDERSTANDING THE PLAN 13. KANNAWAY COMPENSATION PLAN 13VERSION 2 | 8.18.2014CASH BONUSES AND REWARDSNationalMarketingDirectorPlatinumExecutiveDiamondDoubleDiamondTripleDiamondRoyalDiamond*iPad $10,000 $25,000 $50,000 Car Title $100,000Paid over 3monthsPaid over 6monthsPaid over 12monthsYou own it!$75,000Paid over 12months*Note: To receive the iPad, a Brand Ambassador must achieve a Paid As Rank of NMD within their first sixty (60)days.Organizational StructureSponsor TreeWhen a new Brand Ambassador is Sponsored, they go into the Sponsor Tree as a Level 1, or frontline, to theBrand Ambassador who sponsored them. Fast Start Bonuses (FSB), Weekly Cycle Bonus (WCB) and LeadershipCoded Bonuses are based on the Sponsor Tree.The Holding TankThe Kannaway compensation plan gives the sponsoring Brand Ambassador the ability to sponsor a BrandAmbassador and place them above or under another Brand Ambassador on their team within thirty days fromthe date of enrollment. The sponsoring Brand Ambassador will still maintain sponsorship and will receive allsponsor bonuses.Placement TreeWhen a new Brand Ambassador is sponsored, they are automatically placed on their sponsors Level 1. However,at any time within the first thirty days of enrollment, the Sponsor may elect to place or move the enrolled BrandAmbassador above or under another Brand Ambassador in their organization. All products purchased or sold bythe enrolled Brand Ambassador are commissioned based on their placement when the commission period ends.Placement is an advanced strategy that allows thesponsoring Brand Ambassador the opportunity to increasesales volume in an existing leg, and enables the new Brand Ambassador to gain additional support from asales organization that is already in place. Rank advancement, Infinity Bonus, Team Override Commissions, andDifferential Infinity Bonuses are all based on the BV in the Placement Tree.UNDERSTANDING THE PLAN 14. 14 KANNAWAY COMPENSATION PLANRank and Pin LevelsI. Brand Ambassadora. Requirements:i. Pay the required monthly $15 Brand Ambassador feeb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales and orders for their first30 daysiii. Fast Start Double-Upiv. 2 levels of Team OverridesII. Director [DIR]a. Requirements:i. Maintain at least 55 BV in personal salesii. Maintain a monthly Total Group Volume of 600 BV, with not more than 80% fromany one legb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for theirfirst 30 daysiii. Fast Start Double-Upiv. 50% Matching Bonusv. 3 levels of Team OverridesIII. Regional Marketing Director [RMD]a. Requirements:i. Maintain at least 55 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors placed in threeseparate legsiii. Maintain a minimum of 3,000 BV in Total Group Volume, with not more than 70%from any one legb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for theirfirst 30 daysiii. Fast Start Double-Upiv. 50% Matching Bonusv. Weekly Cycle Bonus (See rules above)vi. 4 levels of Team Overridesvii. 2% Infinity Differential BonusUNDERSTANDING THE PLAN 15. KANNAWAY COMPENSATION PLAN 15VERSION 2 | 8.18.2014IV. National Marketing Director [NMD]a. Requirements:i. Maintain at least 55 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors placed in threeseparate legsiii. Maintain a minimum of 9,000 BV in Total Group Volume (monthly), with not morethan 60% from any one legb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for their first 30daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 4% Infinity Differential Bonusviii. 4% Leadership Coded Infinity Bonusix. iPad Mini (see: Cash Bonuses & Rewards chart)V. Silver Executive [SE]a. Requirements:i. Maintain at least 110 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors placed in threeseparate legsiii. Maintain a minimum of 30,000 BV in Total Group Volume (monthly), with not morethan 60% from any one legiv. Help promote and maintain three Brand Ambassadors who achieve the rank of RMDor higher in separate legsb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for their first 30daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 6% Infinity Differential Bonusviii. 6% Leadership Coded Infinity Bonusix. Kannaway Car Program Bonuses (See rules above)UNDERSTANDING THE PLAN 16. 16 KANNAWAY COMPENSATION PLANVI. Gold Executive [GE]a. Requirements:i. Maintain at least 110 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors placed in threeseparate legsiii. Maintain a minimum of 90,000 BV in Total Group Volume (monthly), with not morethan 60% from any one legiv. Help promote and maintain three Brand Ambassadors who achieve the rank ofNMD (or higher) in separate legsb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for their first30 daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 8% Infinity Differential Bonusviii. 8% Leadership Coded Infinity Bonusix. $500 Kannaway Car Program bonusVII. Platinum Executive [PE]a. Requirements:i. Maintain at least 110 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors placed in threeseparate legsiii. Maintain a minimum of 180,000 BV in Total Group Volume for two consecutivemonths with not more than 60% from any one legiv. Help promote and maintain three Brand Ambassadors who achieve the rank ofSilver Executive (or higher) in separate legsb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for theirfirst 30 daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 10% Infinity Differential Bonusviii. 10% Leadership Coded Infinity BonusUNDERSTANDING THE PLAN 17. KANNAWAY COMPENSATION PLAN 17VERSION 2 | 8.18.2014ix. $750 Kannaway Car Program Bonusx. $10,000 from Cash Bonus & RewardsVIII. Diamonda. Requirements:i. Maintain at least 110 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors placed in threeseparate legsiii. Help promote and maintain three Brand Ambassadors who achieve the rank ofGold Executive (or higher) in separate legsb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for theirfirst 30 daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 12% Infinity Differential Bonusviii. 12% Leadership Coded Infinity Bonusix. $1,000 Kannaway Car Program bonusx. 1 share in the Diamond Bonus Poolxi. $25,000 from Cash Bonus & RewardsIX. Double Diamonda. Requirements:i. Maintain at least 110 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors in threeseparate legsiii. Help promote and maintain three Brand Ambassadors who achieve the rank ofPlatinum Executive (or higher) in three separate legsb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for theirfirst 30 daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 14% Infinity Differential Bonusviii. 14% Leadership Coded Infinity Bonusix. $1,000 Kannaway Car Program bonusUNDERSTANDING THE PLAN 18. 18 KANNAWAY COMPENSATION PLANx. 2 shares in the Diamond Bonus Poolxi. $50,000 from Cash Bonus & RewardsX. Triple Diamonda. Requirements:i. Maintain at least 110 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors in threeseparate legsiii. Help promote and maintain two Brand Ambassadors who achieve the rank ofDiamond (or higher) in separate legsb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for their first30 daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 16% Infinity Differential Bonusviii. 16% Leadership Coded Infinity Bonusix. 3 shares in the Diamond Bonus Poolx. $75,000 title to your dream car from the Kannaway Car ProgramXI. Royal Diamonda. Requirements:i. Maintain at least 110 BV in personal salesii. Personally enroll and maintain three active Brand Ambassadors in threeseparate legsiii. Help promote and maintain four Brand Ambassadors who achieve the rankof Diamond (or higher) in three separate legsb. Earn:i. Retail commissionii. FSB on all personally enrolled Brand Ambassadors sales & orders for theirfirst 30 daysiii. Fast Start Double-Up (See rules above)iv. 50% Matching Bonus (See rules above)v. Weekly Cycle Bonus (See rules above)vi. 5 levels of Team Overridesvii. 18% Infinity Differential Bonusviii. 18% Leadership Coded Infinity Bonusix. 4 shares in the Diamond Leadership Poolx. $100,000 from Cash Bonus & RewardsUNDERSTANDING THE PLAN 19. KANNAWAY COMPENSATION PLAN 19VERSION 2 | 8.18.2014XII. Definitionsa. Brand Ambassador Kannaway Independent Business Ownerb. Active Brand Ambassadors are active when they are fulfilling theirPersonal Volume (PV) requirement each month.c. Qualified Brand Ambassadors are Qualified when they have personally enrolled atleast two Brand Ambassadors who remain active each month.d. Earned Rank The highest Pin rank a Brand Ambassador earns. This allows the BrandAmbassador to be recognized at that rank.e. Paid As Rank The rank a Brand Ambassador is for that commissionable period.Commissions are paid to each Brand Ambassador based on the rank they are for eachcommissionable period. It is possible that a Brand Ambassadors Earned Rank and PaidAs Rank are different.f. Business Volume (BV) The total volume assigned to each product.g. Commissionable Volume (CV) The total volume from which commissions are paid.Commissionable Volume equals 50% of the Business Volume.h. Personal Volume (PV) What is generated from all personal sales and personalcustomer sales.i. Weekly Commissions Weekly commissions start on Friday at 12:00am PT and end onThursday night at 11:59pm PT; weekly commissions are available on the following Friday.j. Monthly Commissions Monthly commissions start at 12:00am PT on the first day of themonth and end at 11:59pm PT on the last day of the month. Commissions are available onthe 10th of the following month.k. CAP Rule The CAP Rule applies to the WCB. If the total commissions earned exceed thetotal CV allotted for the WCB, the CAP Rule will reduce the checks accordingly until thecommission payout for the WCB lowers to the maximum commission capUNDERSTANDING THE PLAN 20. 2022 44 K A NKKAANNANWAAAWY AACYYO SSMUUPCCECCNEESSSASST MIOAANN PUULAAALLN